Kristen cookie sheet

Case 2 - Kristen's Cookie Company Question 1: Step 1 Activity Resource Time Unit of Time 1 Take Order you 2 1 Minute 2 Mix Ingredients You 6 Minutes 3 Spooning You 2 Minutes 4 Baking Oven 10 Minutes 5 Cooling Tray 5 Minutes 6 Packing you 2 2 Minutes 7 Payment you 2 1 Minutes Total Flow Time 27 Minutes Question 2: Resources You Roommate Oven Baking Trays Mixing Bowl 12 4 10 19 8 Formula =D8+D9+D12+D13+D7 =D7+D12+D13 =D10 =D9+D10+D11+D12 =D8+D9 Question 3: Resources You Roommate Oven Baking Trays Mixing Bowl Dozens/Hour 5 6 3.16 7.5 Formulas =60/B19 #N/A =60/D19 =60/E19 =60/F19 Question 4: A “rush order” is a custom- ingredient cookie order for which you are willing to push aside ‐ everything currently in the production system, in order to process the rush order immediately. How quickly can you fill an isolated rush order? In other words, what is the “flow time of a rush order”: the time (in minutes) it takes to “produce” a batch of a dozen cookies from start to finish? Please fill out the table below, which describes how various resources (you, your roommate, the oven, the baking trays, and the mixing bowl) are occupied over the flow time of a rush order. Minutes Occupied Assuming there are multiple trays because trays are cheap, calculate the capacity (measured in dozens/hour) of your cookie-making process, in “steady state” (i.e., around 9 PM, so that you can ignore the inefficiencies in starting up and shutting down the process). Identify the bottleneck resource that limits your overall cookie production capacity. Since there are multiple trays the capacity of cooling is infinity. Bottleneck is the oven, so the capacity of the cookie-making process is 6 dozen/hour. Calculate the utilization (in percent) for the three main resources (you, your roommate, and the oven), assuming that your cookie production is operating at full capacity and you’re operating in “steady state,” around 9 PM.

Resources You Roommate Oven Utilization 120% #DIV/0! 100% Formulas =D25/B25 =D25/C25 =D25/D25 Question 5: Since the bottleneck is the oven, I would consider adding an additional oven to increase the capacity. Question 6: Question 7: Question 8: What changes could you make in the cookie production process to increase its capacity? Would it help to hire a third person? To rent a second oven? Suppose that you have only one oven. What changes could you make in the cookie production process to reduce the flow time (of a rush order)? Would you be interested in reducing it? Why or why not? What would happen if your roommate moved out, and you had to do this by yourself? In particular, how (if at all) do your “flow time of a rush order” and production capacity change? Without a roomate, an addtional 4 minutes are added to my total processing time taking it from 8 to 12. Flow time is unchanged and remains at 27 minutes. 'You' were idle 20% of the time and the roomate was idle 60% of the time; however, capacity changes and reduces from 6 to 5. Since 'you' would be at 120% utilization, it is likely that supplies would be constrained and quality of the cookie will diminish. Suppose that you have only one oven. Under what conditions (if any) does it make sense to give a quantity discount to customers who order two or three dozen cookies? Does your answer depend on whether the cookies are identical or of differing types?